Intel to pay AMD $1.25 billion

Intel and AMD have announced a comprehensive agreement to end all
outstanding legal disputes between the two chipmakers.

The disputes
revolved around antitrust litigation and patent cross licensing.Under
the agreement, AMD and Intel obtain patent rights through a new 5-year
cross license agreement and agree to give up any claims of breach
stemming from previous agreements.

Intel has agreed to pay AMD $1.25 billion and to abide by a set of
business practice provisions, such as offering vendors preferential
treatment if chose not to use AMD processors.

AMD agreed to drop all pending litigation against Intel, including two cases
in Japan and a case in the US District Court of Delaware. AMD will also
drop all regulatory complaints worldwide.